This program provides grants to assist States in operating statewide vocational rehabilitation (VR) programs, each of which is an integral part of a statewide workforce development system. The VR program is designed to provide VR services for individuals with disabilities, consistent with their strengths, resources, priorities, concerns, abilities, capabilities, interests, and informed choice, so that they may prepare for and engage in competitive integrated employment and achieve economic self-sufficiency. Eligible individuals are those who have a physical or mental impairment that results in a substantial impediment to employment, who can benefit from VR services for employment, and who require VR services. Priority must be given to serving individuals with the most significant disabilities if a state is unable to serve all eligible individuals.

Requirements

Funds are distributed to states based on the statutory formula that takes into account population and per capita income in determining the amount of Federal funds made available to states for VR program purposes. Grant funds are administered under the approved VR services portion of the Unified or Combined State Plan in accordance with the Workforce Innovation and Opportunity Act (WIOA) Unified and Combined State Plan Requirements.

VR implementing regulations require that the state incur a portion of expenditures under the VR services portion of the Unified or Combined State Plan from non-Federal funds to meet its cost sharing requirements (34 CFR §361.60). The Federal share for expenditures made by the state, including expenditures for the provision of VR services and the administration of the VR services portion of the Unified or Combined State Plan, is 78.7 percent. The state’s share is 21.3 percent of the total program cost. The VR program considers non-Federal share to be allowable as match only when obligated during the year of appropriation of an award. The state non-Federal share for the cost of construction of a facility for community rehabilitation program purposes is 50 percent.